01

Company Trend（May.13）

Micron’s Market Cap Breaks US$900 Billion: What’s Driving the Surge?

On May 13, 2026, Micron Technology’s market capitalization surpassed US$900bn for the first time, closing at US$906.28bn. The company’s stock has gained more than 160% year-to-date, placing Micron among the top 12 US-listed companies by market value. The latest surge has been primarily driven by an AI-led memory supercycle, further amplified by labor disruption risks at Samsung Electronics. Global supply-demand gaps for DRAM, NAND, and HBM have reportedly reached 4.9%, 4.2%, and 5.1%, respectively, marking the highest levels since 2011. Micron’s HBM4 products have already entered volume shipments to Nvidia, with the company’s full-year production capacity fully booked and orders secured through 2027. On May 13, labor negotiations at Samsung reportedly broke down, with 50,000 workers planning an 18-day strike beginning on May 21. The strike could affect approximately 3% of global memory production capacity, further tightening supply conditions. On the earnings side, Micron reported fiscal Q2 2026 revenue of US$23.8bn, up 196% YoY, while gross margin reached 74.9%, marking a record high in profitability.

Comments:Micron’s market capitalization surpassing US$900bn signals that the memory industry is moving beyond its traditional cyclical nature and entering an era of AI-driven structural growth. The “vacuum effect” created by AI servers on HBM demand has transformed memory from a supporting component for consumer electronics into a core element of computing infrastructure, with the value of a single HBM package exceeding that of conventional DRAM products by more than tenfold. The three dominant players—Samsung Electronics, SK hynix, and Micron Technology—continue to maintain strict capacity discipline, while HBM expansion cycles typically require 18 to 24 months. As a result, near-term supply-demand imbalances are unlikely to ease quickly. The Samsung labor dispute has further intensified supply concerns, reinforcing Micron’s pricing power and strengthening its leadership position in the market. Over the longer term, the memory supercycle is expected to extend at least through 2027, with HBM remaining the primary growth engine. For China’s domestic industry, accelerating HBM technology development and capacity expansion will be critical to capturing opportunities arising from global supply chain restructuring, while remaining mindful of valuation volatility and technology iteration risks at elevated market levels.

02

Company Trend（May.14）

TSMC unveils world’s first 200Gbps silicon photonics micro-ring modulator

On May 14, 2026, TSMC officially unveiled the world’s first 200Gbps micro-ring modulator (MRM) based on its COUPE silicon photonics technology at a technology forum, and announced that mass production will begin within the year, marking the transition of silicon photonics from laboratory research to commercial deployment. The product integrates co-packaged optics (CPO) technology. Compared with traditional copper interconnects, it delivers four times greater power efficiency and reduces latency by 90%. When extended to interposer-level integration, the technology can achieve up to 10 times better power efficiency and 95% lower latency, while maintaining a bit error rate below 1E-08. TSMC is also developing 400Gbps modulators and multi-wavelength technologies, targeting bandwidth density of 4Tbps/mm by 2030 to support core interconnect solutions for AI servers, high-performance computing, and high-speed networking applications.

Comments:This launch represents a critical move by TSMC to strengthen its technological moat beyond advanced process nodes, directly targeting the bandwidth and power-consumption bottlenecks of high-speed interconnects in the AI era. By overcoming the limitations of traditional electrical interconnects, silicon photonics technology is expected to significantly ease data transmission bottlenecks in data centers and support the large-scale deployment of large AI models and high-performance computing applications. Leveraging its integrated manufacturing and advanced packaging capabilities, TSMC has taken the lead in commercializing silicon photonics technology, further widening its technological gap with competitors and reinforcing its leadership position in the global foundry market. At the same time, the technology is expected to reshape the high-speed interconnect supply chain, driving coordinated development between optical chips and advanced packaging technologies. This could open a new growth trajectory for the semiconductor industry while also providing an important reference direction for domestic silicon photonics research and development.

03

Market Trend（May.14）

DRAM prices soar

Since the beginning of 2026, the global DRAM market has experienced a historic price surge, with prices continuing to climb to record highs. As of May, spot prices for DRAM chips had risen 497.4% YoY, while contract prices in Q1 surged 55%–90% QoQ. Among major products, DDR5 chip prices increased by more than 100% in a single month, while LPDDR5X mobile memory prices are expected to rise another 78%–83% in Q2. The latest price rally has been driven primarily by surging AI compute demand. Samsung Electronics, SK hynix, and Micron Technology have shifted around 70% of their advanced production capacity toward HBM and server DDR5 products, resulting in a severe contraction in consumer DRAM supply. At the same time, capital expenditure cuts during the industry downturn in 2023 and 2024 resulted in insufficient capacity expansion. Combined with a global DRAM supply-demand gap of 4.9%, these factors have continued to drive prices higher. Cost pressures are rising sharply for downstream PC, smartphone, and server manufacturers, raising strong expectations of price increases for end products.

Comments:The current DRAM price rally represents an AI-driven structural supercycle that is fundamentally reshaping the traditional cyclical dynamics of the memory industry. The “vacuum effect” created by AI servers on high-bandwidth memory demand has transformed memory chips from supporting components for consumer electronics into core resources for AI computing infrastructure. Leveraging their dominant market positions and capacity-allocation strategies, the three major suppliers—Samsung Electronics, SK hynix, and Micron Technology—have significantly improved profitability. Among them, SK hynix reported a 398% YoY increase in net profit in the first quarter. While rising prices benefit memory manufacturers, they are also intensifying cost pressures across downstream industries. This may suppress demand in consumer electronics markets while increasing the construction costs of AI computing infrastructure. Over the longer term, the strong DRAM market cycle is expected to continue through 2027. For China’s domestic memory industry, accelerating technological breakthroughs and capacity expansion will be essential to capturing opportunities—and managing challenges—arising from the restructuring of global semiconductor supply chains.

04

Company Trend（May.15）

Apple order secures major boost for Intel foundry business

Recent reports of a major breakthrough in Intel Foundry Services (IFS) have sent shockwaves through the semiconductor industry. According to The Wall Street Journal and multiple international media outlets, Apple and Intel have reached a preliminary foundry agreement, ending more than a year of confidential negotiations. The news pushed Intel’s share price up nearly 14% in a single trading session.

Intel has reportedly begun pilot production of certain Apple chips using its most advanced Intel 18A process technology at its Arizona facility, with the project expected to involve chips for the iPhone, iPad, and Mac product lines. At the same time, Intel has further expanded its technology roadmap by officially launching the enhanced 18A-P process node. The technology was unveiled at the VLSI Symposium, delivering a 9% performance improvement over the standard version, an 18% reduction in power consumption, and significantly improved manufacturing stability.

In addition to Apple, Google has confirmed that its next-generation TPU AI chips will adopt Intel’s advanced packaging technology, while Elon Musk’s Terafab project has also selected Intel’s future 14A node. This series of developments suggests that Intel’s foundry business is shifting from an internally driven turnaround effort toward broader external expansion, with the global foundry landscape potentially entering a new phase of restructuring.

Comments:Intel securing orders from Apple is undoubtedly one of the most significant votes of confidence in the company’s history. On the surface, the deal reflects the success of supply chain diversification strategies: amid tightening capacity at TSMC driven by surging AI chip demand, Apple needs Intel as an alternative supplier to mitigate supply risks and strengthen its bargaining position. At a deeper technological level, however, Intel’s turnaround is increasingly being supported by tangible improvements in core engineering capabilities. The advances achieved by the 18A-P process in areas such as backside power delivery and transistor density suggest that Intel’s technology roadmap has returned to a more credible trajectory rather than remaining merely conceptual.

That said, it is still too early to conclude that Intel has achieved a full-scale comeback. The development is better viewed as a limited victory. On one hand, Apple’s order transfer strategy remains gradual, with TSMC still expected to retain more than 90% of Apple’s chip orders in the near term. Intel is more likely to receive lower-end or trial-stage orders initially. On the other hand, the foundry business fundamentally depends on the flywheel effect created by manufacturing yield and long-term customer trust. Intel’s foundry customer base remains relatively limited, while losses in its foundry operations continue to persist.

05

Company Trend（May.12）

Elite Electronic Material (Zhongshan) Co., Ltd. launches Phase III expansion project

On May 12, the Phase III project of the AI high-performance computing and advanced semiconductor core materials R&D and manufacturing base of Elite Electronic Material (Zhongshan) Co., Ltd. officially broke ground in Zhongshan Torch High-Tech Zone. The project plans to establish production lines for high-end M9/M10-grade copper clad laminates (CCL). Upon full ramp-up, the base is expected to generate annual revenue exceeding RMB 20bn.

This marks the company’s second major investment and capacity expansion within less than six months. Notably, the project moved from signing on April 30 to formal construction on May 12 in just 12 days, demonstrating the so-called “Torch Speed.” The company is the world’s leading supplier of high-speed transmission copper clad laminates and serves as a key supplier to AI chip companies including Nvidia and AMD. Located adjacent to the Phase I and Phase II facilities, the new project forms an integrated development cluster primarily targeting AI servers, 5G base stations, and high-performance computing applications. As demand for AI computing infrastructure enters a rapid growth stage, upstream high-frequency and high-speed CCL materials have become a critical bottleneck in the supply chain. Through this expansion, Elite Electronic Material aims to capture early market opportunities and further consolidate its leading position in the global AI computing hardware materials sector.

06

Company Trend（May.13）

Joint team led by Shanghai AI Laboratory achieves breakthrough in stable production of photoresist materials

Recently, Shanghai AI Laboratory, together with Xiamen University, Suzhou National Laboratory, and other institutions, developed a closed-loop R&D system combining “AI-driven decision-making and automated synthesis” based on the Intern scientific foundation model. The team successfully achieved high-purity, high-consistency, and high-efficiency production of KrF photoresist resin.

For many years, the development of high-end photoresist resins has relied heavily on experience-driven trial-and-error approaches, resulting in R&D cycles measured in months and difficulties in ensuring batch-to-batch consistency. The intelligent synthesis platform developed by the joint team enables fully closed-loop operation covering precision liquid transfer through automated post-processing. The system can consistently control metallic impurities in finished resin below 10ppb, while maintaining the polydispersity index (PDI) below 1.3.

Xiamen Hengkun New Materials has already completed resin adaptation, with key performance indicators meeting expectations, and the product is expected to enter customer-side validation. The breakthrough reduces reliance on the “black-box capabilities” of overseas suppliers in the stable production of high-end photoresist resins, while establishing a new pathway for standardized and rapidly iterative development of semiconductor materials.

07

Company Trend（May.15）

RMB 2bn Piotech semiconductor equipment industrialization base project in Shenyang reaches new milestone

In mid-May, construction of Piotech’s high-end semiconductor equipment industrialization base project, located in the Intelligent Manufacturing Industrial Park in Hunnan District, Shenyang, entered a critical final stage of structural completion. Work in both the northern and southern sections is progressing simultaneously as the project accelerates toward the electromechanical installation phase. After completion and commencement of operations, the project will focus on the R&D and industrialization of globally advanced thin-film deposition equipment. Production capacity in Shenyang is expected to increase to four times the current level, fully supporting the commercialization of high-end thin-film products including PECVD, SACVD, and HDPCVD systems.

Over the past several years, the primary task for China’s domestic semiconductor equipment makers was to move “from zero to one” by overcoming technical barriers and passing production-line qualification. Today, leading companies represented by Piotech have successfully completed customer certification and accumulated orders exceeding RMB 10bn. The next core challenge has shifted to whether they can manufacture enough products at sufficient scale. This is precisely the strategic significance of the RMB 2bn project. The fourfold capacity expansion is not simply a factory enlargement, but a substantial manufacturing commitment supporting China’s broader strategy of technological self-sufficiency.

Notably, the project benefits from two major forms of support: first, the Phase III National Integrated Circuit Industry Investment Fund made its first industrial investment through a Piotech subsidiary; second, Piotech’s RMB 4.6bn private placement financing plan has received approval from the Shanghai Stock Exchange. The concentrated inflow of capital reflects strong industry confidence in China’s domestic semiconductor equipment sector.